Sonia Rykiel

After the recent purchase of French fashion house of Sonia Rykiel, Hong Kong-based Li Fung Group acquired this week luxury classic menswear brand Gieves & Hawkes, a heritage British brand headquartered at 1, Savile Row.

According to WWD, Li Fung Group, already the company's licensee in China where it operates over 100 stores, agreed to pay USD95 million for a majority stake in the British menswear company, established 1771. The company's new owner plans further expansion in China, as well as increased presence worldwide through major luxury department stores.

Sonia Rykiel, the Parisian fashion brand known for brightly coloured striped woollen outfits, has sold control to Hong Kong investors to give it the financial firepower to enter major markets such as China and the United States.

Fung Brands, an investment company backed by Hong Kong billionaires Victor and William Fung, is acquiring 80 percent of Sonia Rykiel, with the founding family retaining a 20 percent stake. Financial terms were not disclosed.